Accounting Multiple Choice Question – 27 February 2020

The home of multiple choice questions for all your KS3, KS4 and KS5 Business Studies, Economics and Accounting requirements.

Accounting

The balance on a firm’s debtors control account at the end of a year should agree with . . .

Select ONE answer:

  1. the total of the firm’s sales for that year.
  2. the amount of money received from debtors during the year.
  3. the total of debtors which are outstanding for more than one year.
  4. the total of its list of debtors outstanding at the year-end.

Show your workings to arrive at your answer, and explain and justify your reasons:

……………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………

This multiple-choice question is suitable for Accounting KS5 classes.

The answer is 4

  1. Not correct
  2. Not correct
  3. Not correct
  4. Correct – The primary purpose of a debtors control account is to act as a ‘control’ over the debtors (sales) ledger. The control mechanism is to compare the sum of the balances on the individual debtors’ accounts with the balance on the debtor control account.

 

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Author: stuart001uk2014

Referral marketing, business, economics and accounting s​pecialist & corporate mentor

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